Authority: IC 4-15-2.2-19

Affected: IC 4-15; IC 5-10.3-8-14

Sec. 2. (a) Vacation leave with pay is earned by full-time employees at the rate of seven and one-half (7.5) hours for each full month of employment. Employees working at least half time, but less than a full-time basis, shall earn vacation at the rate of three and three-fourths (3.75) hours a month. Vacation is not credited to the following employees:

1. (1) Hourly.
2. (2) Per diem.
3. (3) Temporary.
4. (4) Intermittent.
5. (5) Contractual.
6. (6) Employees working less than half time.

(b) Notwithstanding subsection (a), teachers employed by the Indiana School for the Blind and Visually Impaired (ISBVI) or Indiana School for the Deaf (ISD) accrue vacation leave under the vacation leave policy of Indianapolis public schools. ISBVI and ISD teachers are not eligible for vacation leave set for state employees under IC 4-15 or this rule.

(c) Eligibility for additional vacation days is as follows:

1. (1) Employees who have completed five (5) years or more of full-time employment, or ten (10) years or more of part-time employment, accrue twenty-two and one-half (22.5) additional hours of vacation leave with pay annually on their accrual date.
2. (2) Employees who have completed ten (10) years or more of full-time employment, or twenty (20) years or more of part-time employment, accrue thirty-seven and one-half (37.5) additional hours of vacation leave with pay (22.5 + 37.5 = 60 additional hours) annually on their accrual date.
3. (3) Employees who have completed twenty (20) years or more of full-time employment, or forty (40) years or more of part-time employment, accrue thirty-seven and one-half (37.5) additional hours of vacation leave with pay (22.5 + 37.5 + 37.5 = 97.5 additional hours) annually on their accrual date.
4. (4) Time spent in out-of-pay status, except for military service, is deducted from total service time in computing eligibility for additional vacation leave.
5. (5) Noncontinuous service prior to June 30, 1982, is not considered in determining eligibility for additional vacation leave.

(d) Appointing authorities shall determine the time and amount of vacation taken at any one (1) time. Employees are limited to four (4) calendar weeks of vacation at any one (1) time:

1. (1) unless a longer period is recommended by the appointing authority and approved by the director;
2. (2) except as provided in 31 IAC 5-9-28.

(e) For the good of the service in arranging vacation schedules, the director may approve an appointing authority's request for a full-time employee to anticipate and take vacation leave not to exceed twenty-two and one-half (22.5) hours.

(f) Compensation for unused vacation on separation is as follows:

1. (1) Except as otherwise provided in 31 IAC 5-10 or IC 5-10.3-8-14, after separation from the service, in good standing, an employee is paid for unused vacation for not more than two hundred twenty-five (225) hours.
2. (2) Compensation for unused vacation exceeding two hundred twenty-five (225) hours is only permitted in cases involving the retiree leave conversion program described in 31 IAC 5-10.
3. (3) Payment for unused vacation leave not to exceed two hundred twenty-five (225) hours is paid to beneficiaries of a deceased employee.
4. (4) If an employee has anticipated vacation leave under subsection (e) and is separated from the service before actually earning that leave, payment for leave used but unearned is deducted from the final salary payment.
5. (5) A full-time employee who resigns before completing six (6) months of employment, or a part-time employee who resigns before completing one (1) year of employment, is not paid for any vacation leave on separation.

(g) Vacation leave is charged in fifteen (15) minute increments.

(h) An employee who resigns in good standing and is later rehired has reinstated any vacation leave accrued, but unused and uncompensated, at the time of resignation. However, vacation leave compensated under 31 IAC 5-10 is not reinstated.

(i) Acknowledging that certain police officers have a standard work day of eight and one-half (8.5) hours instead of seven and one-half (7.5) hours, the references to the numbers of hours in this section are converted for those police officers subject to 31 IAC 5-7-8(b) as follows: If an employee transfers into or out of affected police officer positions, the employee's leave balances are adjusted proportionately to reflect the change in the number of hours of the standard work day.

(State Personnel Department; 31 IAC 5-8-2; filed May 10, 2012, 2:32 p.m.: 20120606-IR-031110446FRA; readopted filed Jun 1, 2018, 9:50 a.m.: 20180627-IR- 031180194RFA; filed Aug 19, 2024, 5:25 p.m.: 20240918-IR-031240179FRA; errata Sep 26, 2024, 12:15 p.m.: 20241002-IR-031240179ACA)